Mumbai – India’s central bank cut interest rates Thursday, giving asurprise boost to Prime Minister Narendra Modi ahead of general electionsdue this year.
The cut in borrowing costs in Asia’s third-biggest economy comes as theeconomy stutters and other central banks, most notably the Federal Reserve,have sounded increasingly cautious about the global outlook.
The Reserve Bank of India (RBI) said the benchmark repo rate — the levelat which it lends to commercial banks — would be reduced by 25 basispoints to6.25 percent. – APP/AFP
